Cause-And-Effect Diagrams Are Problem Solving Tools Commonly Used by Quality

question 136

True/False

Cause-and-effect diagrams are problem solving tools commonly used by quality control teams.

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Definitions:

Market Risk

The risk of losses in investments due to factors that affect the overall performance of the financial markets.

Nondiversifiable Risk

Risk factors common to the whole economy; also called market risk or systematic risk.

Diversifiable Risk

The risk associated with individual investments that can be reduced through diversification by investing in a variety of assets.

Unique Risk

Risk that is specific to a single asset or to a small group of assets, also known as unsystematic risk.